Lentra, a cloud-based digital lending platform, has announced its expansion into the South East Asian economies of Indonesia, the Philippines, and Vietnam to meet the region’s growing digital lending needs.
Lentra’s goal with this expansion is to reach $100 million in annual recurring revenue (ARR) by March 2024. The move comes on the heels of a $60 million Series B round led by Bessemer Venture Partners, Susquehanna International Group (SIG), and Citi Ventures.
By replicating its India growth in the three South East Asian countries, Lentra will strengthen its market presence and increase credit disbursement. Lentra already has a few customers in the Philippines. It has a strong presence in India, with 60 partner banks and NBFCs and more than 50 million loans processed on its platform. By 2027, the company hopes to have 250 banking partners, expand into five new countries, and generate $250 million in ARR.
Lentra’s expansion comes at an interesting time when demand for digital lending platforms is increasing in these economies. Vietnam expects its digital lending loan book value to increase from $2 billion in 2021 to $18 billion in 2025. According to PwC, Indonesia is on track to become the world’s fourth largest economy, a potential that can be realised by improving access to financing. Similarly, MSMEs in the Philippines, which account for 36% of the country’s GDP, continue to be underfinanced, making digital lending platforms critical to reimagining economic growth.
Commenting on the business’ growth, D Venkatesh, Founder, Lentra said, “We are at a major inflection point in Lentra’s growth journey. The financial landscape has never been more dynamic. Our learnings over the past few years and beyond will prove critical in delivering future performance and innovation at the levels we demand of ourselves in pursuit of our mission.”
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